Home Forum Contact Create an Account Sign In Create a Trust

Why Quiet Title Action vs. Foreclosing Lender May Be Needed.

Home Forums General EHTrust/EHT Topics and Creative Real Estate Financing Why Quiet Title Action vs. Foreclosing Lender May Be Needed.

This topic contains 6 replies, has 0 voices, and was last updated by Avatar of dave salcido dave salcido 11 years, 8 months ago.

Viewing 8 posts - 1 through 8 (of 8 total)
  • Author
    Posts
  • #6107
    Avatar of dave salcido
    dave salcido
    Member

    The real issue in all foreclosure proceedings is whether or not the foreclosing lender has the actual right to foreclose. They claim to be the “real party of interest”, meaning, they claim to hold the note AND the mortgage or deed of trust. Multiple note sales and assignments (whether recorded or not) made by the lender to other entities may call into question the “real party of interest” claim or at least could cloud the veracity of such a claim. An Ohio court denied a judgment in favor of Plaintiff Wells Fargo bank because of this type of cloud.

    See: http://vlex.com/vid/wells-fargo-bank-n-v-byrd-42545339

    If you feel that your foreclosing lender may not be the “real party of interest” as they claim, a Quiet Title Action against the lender could be the first step toward discovery in an evidentiary hearing and could cause the judge to question who in fact is the “real party of interest”. The lender now has to prove this and may have to combine with all other potential claimants (servicers, assignees, MERS, hedge funds and other derivative purchasers from foreign countries) in order to determine every point that would define the actual “real party of interest”. This kind of attempt could prove to be an impossible task for the lender; kind of like throwing a jigsaw puzzle into the Mississippi and then trying to fish out all of the pieces and putting the puzzle back together again.

    Oddly enough, the homeowner himself could declare to be a “real party of interest” by claiming that it was his credit that funded the purchase of the property and not any actual loan provided by the pretender lender. Wouldn’t that blow the mind of the judge? Title company attorneys should be familiar with Quiet Title Actions. Maybe not in this context, but if the the attorney can be coached and enlightened, they may feel empowered enough to represent you. It’s worth a try. Especially if you are looking at a soon to be eviction out of your own home.

    #31391
    Avatar of homesavers
    NULL
    Member

    I agree, David. When do you recommend initiating the lawsuit? After the QWR is sent they have 60 days to respond. If you are close to Trustee sale date then you could be well within the 60 days when the auction occurs. I spoke with an Attorney and he recommended a forensic audit so he can see where they “messed up” and then he would charge me $550 to review the audit then tell me if he will take the case.
    So the process would be $700 for the audit and $550 for the Attorney to review the audit. $1250 out of pocket before the case is accepted. If the case is excepted then $5000 retainer to file the lis pendens and start the “flurry of motions” and discovery process. So that is $7,250 committed at this point over and above the LFC fee of $2995. So you are at over $10,000. At this point. We are getting to a point were this is not going to be financially feasible. I am not sure what we have in mind here. I have called many Attorneys and they all are close to the same.

    #31392
    Avatar of dave salcido
    dave salcido
    Member

    @homesavers wrote:

    I agree, David. When do you recommend initiating the lawsuit? After the QWR is sent they have 60 days to respond. If you are close to Trustee sale date then you could be well within the 60 days when the auction occurs. I spoke with an Attorney and he recommended a forensic audit so he can see where they “messed up” and then he would charge me $550 to review the audit then tell me if he will take the case.
    So the process would be $700 for the audit and $550 for the Attorney to review the audit. $1250 out of pocket before the case is accepted. If the case is excepted then $5000 retainer to file the lis pendens and start the “flurry of motions” and discovery process. So that is $7,250 committed at this point over and above the LFC fee of $2995. So you are at over $10,000. At this point. We are getting to a point were this is not going to be financially feasible. I am not sure what we have in mind here. I have called many Attorneys and they all are close to the same.

    No doubt, there is no free lunch here. I am looking at some Pro Se solutions, but it is not the best way to go in my opinion. But, if you cannot afford audits and retainers and filings and representation, what are going to do? It’s a big decision for everyone, and keeping your home and protecting it against predatory lenders is not cheap, but in the long run it is worth it. It’s certainly more costly than protecting yourself against your average run of the mill burglar. Maybe going Pro Se and hiring an expert witness may be a more economical route. Still looking for that perfect package. Any future actions beginning with LFC phase one and two is wise.

    #31393
    Avatar of homesavers
    NULL
    Member

    Pro Se is hard. Since you will have to represent yourself in Court against experienced Attorneys. It sounds exciting though. Man you sure won’t sleep well the night before that appearance. I just say count on it costing 10 Grand to do this and leave it at that. That is why the lenders can do what they do. I have one more ace to play. I will post here when I get results with it. Can you say, Pro Bono? What more Latin to learn!

    #31394
    Avatar of dave salcido
    dave salcido
    Member

    @homesavers wrote:

    Pro Se is hard. Since you will have to represent yourself in Court against experienced Attorneys. It sounds exciting though. Man you sure won’t sleep well the night before that appearance. I just say count on it costing 10 Grand to do this and leave it at that. That is why the lenders can do what they do. I have one more ace to play. I will post here when I get results with it. Can you say, Pro Bono? What more Latin to learn!

    Pro se can be a little unsettling, but so is being broke and homeless. Pick your poison.

    #31395
    Avatar of homesavers
    NULL
    Member

    @Dave Salcido wrote:

    Pro se can be a little unsettling, but so is being broke and homeless. Pick your poison.

    Now if that ain’t a rhetorical question I do not know what is. :) How about the missing choice. Forget about it, let the bank have it, Rent a place and maybe become an RB.
    Buying a house with a mortgage will never be an option again once you know what they are doing with your Note. Right? I mean who would ever want to go “qualify” for a mortgage again in this system . Aren’t we trying to eliminate the home loan system as it is now with the all the running assignments, paper baton passing and note conversion fraud? Going through the FICO score ringer was never fun for me. I will never participate in that system again. That is one thing the Feds will not relax – that FICO score system :twisted: That would free up a lot of people to buy. Nope they don’t want to mess with that crummy scoring system do they. I mean I am not a number and neither are you or anyone else.

    #31396
    Avatar of mtnwizard49
    mtnwizard49
    Member

    That’s where you are wrong. WE ARE ALL NUMBERS. People are just finding it out, that’s all.

    #31397
    Avatar of amyhutton
    amyhutton
    Participant

    My husband and I have an excellent legal plan in effect. Because we have so many handicapped children we need it. I have used it many times. If I have a problem the atty group will find me an atty who specializes in that type of law and then I can phone consult with him for free. He/she will also write letters for me and review documents.

    They call me back in 4-8 hours when I have an issue.

    If I go to court on my own the appropriate atty will give me directions on how to proceed, as well as info on further actions I can take. If I have an absolute emergency I have a 24 hour hotline to call.

    If they don’t have an atty on hand that specializes in a certain area, sometimes I can recommend another on and they will bring him into the legal plan so that I can use him.

    This has saved my butt a couple times, and has made me money in a couple others. I don’t know if they have an atty available to them who is cognizant of what’s happened to consumers with regard to mortgages, but they are definitely teachable.

    I pay all of $16 a month for this. (And no I am not an affiliate, just a customer.) If I do end up in court, I can have one of their attorneys go with me at a 25% reduction in fees.

    Seems like such a service would be helpful if one was doing the LFC by himself. Attorneys at your fingertips for next to no cost.

    Amy

Viewing 8 posts - 1 through 8 (of 8 total)

You must be logged in to reply to this topic.

Posted in
Contact Form
Your Fullname:


Email Address:


Phone:


Best Time to Call:


Subject:


Your Message:


Security Code:

 

Can't read the above security code? Refresh